2013 accounts and notice of AGM

[roger]

Torus, you're right in one sense. But, if the company's future earnings are all predetermined as being payable out by way of cashback rather than dividends, no-one would want to buy the site - consequently the shares, as I said before, would be of little value.

[roger]

Actually, this particular line (cashback versus dividends) of discussion is best perhaps continued - if indeed anyone wants to continue it - in the Shareholders forum.

[Stiofan]

You could use this thread. I accept that, as we grow to such a size that a buyout becomes a distinct possibility, we may need to adjust our behaviour accordingly. However, paying out what would likely be a very modest dividend to 1m+ shareholders would incur a significant administrative burden. If there comes a time when we have surplus cash, it's probably in everyone's interests to invest that in new features which both benefit our members AND enhance the perceived value of the company.

[expressman33]

Does doing daily clicks benefit the Imutual profit margin ?

[Stiofan]

In general, we pass on 100% even on daily clicks. So we just get the benefit of the occasional 'capped' transaction. But I'm sure it's helped us by attracting more members

[expressman33]

In general, we pass on 100% even on daily clicks. So we just get the benefit of the occasional 'capped' transaction. But I'm sure it's helped us by attracting more members

I may sound thick but if we are passing on 100% , how do we make any profit ? ( apart from the benefit of the occasional 'capped' transaction)

[Stiofan]

Lots of little ways. Capped transactions, white label sites, non-cashback links (e.g. ebay, Amazon), bonuses from merchants, tenancies, suspended members (i.e. anti-fraud measures), interest (only this year onwards). It's tough to break even at our current size, but will get easier as we grow

[Richard Frost]

Torus, you're right in one sense. But, if the company's future earnings are all predetermined as being payable out by way of cashback rather than dividends, no-one would want to buy the site - consequently the shares, as I said before, would be of little value.

The rates payable to members/shareholders can be adjusted at anytime if a future owner wanted to do this, and as Richard has said rather than pay shareholders a dividend, money can be reinvested in the site making it more attractive to a potential buyer.

[brittaniabuckle]

interest (only this year onwards).

About money held.
Can some of it be held as high-interest loans that can be found on p2pmoney.co.uk?

[brittaniabuckle]

non-cashback links (e.g. ebay, Amazon)

Do you look-around once in a while for good advertisers?